Richmond dispatch. [volume] (Richmond, Va.) 1884-1903, 1887-03-12
THE GREAT DEAL.
RICr MOS D AND WIS., POINT TEaEI-
NAL OUT OF THE scHRaE.
The New York Worlds" History Of the
Whole sully. Garrett Transaction
Why the Latter Wants to Give
Up the B 60,
special telegram to tho Dispatch. ]


The control Of the Baltimore and Ohio
railroad which Mr.. Garrett gave Mr..
Sully has expired for the present at
least. The negotiations are in abey-
ance. The World is authorized by one
Of the most prominent directors of the
Richmond Ierminal-one whose name
is a household word throughout the
length and breadth OF the South, and
well-known in financial centres of the
North-to make the following an
nouncement: "This whole thing has
been wofully exaggerated. Boiled down
it is simply this: Mr.. Garrett saw pro-
per to give Mr.. SuIly an option to buy
$4,000 shares of Baltimore and Ohio
stock at 200. AS options of this sort
cost nothing, MIR. Sully took it and pre-
scented the mattertO the Executive Com
mittee of the Richmond Terminal Com
pany, but the committee, not wishing
to even negotiate for property of this
magnitude without giving it thorough
and careful examination, and nothaving
sufficient time allowed to do this, really
gave the matter no serious considera-
ton so it ended and is not likely to
come up again. The premature publ
cGtion OF what certain parties had done,
with a view of giving them personal
prominence, threw damper on the
whole thing, and, in the opinion Of
many, was an objectionable mistake,
as even the average fnancier does not
hunt quail with brass band. 1t may
seem to the public that Mr.. Sully and
Mr.. Garrett have each succeeded in adj
yertisiDg themselves pretty well"
The fnancier who says this is not a
Wall-street Spectator, and if his name
could be made public the statement he
makes would need no other guarantee
of its truth. It need not be inferred
from this statement that Robert Gar
rett will not sell the control of the Bal
timore and Ohio, and that q syn
dictate of New York and Philadelphia
capitalists will not purchase his stock.
This is, indeed, still probable but Mr..
Sully is no longer the master of the
situationhe was a few days ago. He
does not feel rs well as he did when
with Mr.. CARROTS option in his pocket
he told the story prematurely, but he
knows great deal more. He has
learned the golden virtue of silence. 1t
is unquestiOnable that the publicity
given the deal had much to do with its
failure.
"Isn't the great deal Off" asked your
correspondent of Mr.. Sully to-day.
81 never said it was on, was his re-
ply. His denial must be taken in q
technical sense. He did not make an
official" statement, but in his tempo
rary exaltation of spirits he did un-
Qucstionably make one or two unoili-
cial statements. That did the business
The wailing and gnashing of teeth
in the Richmond Terminal Board
when they saw that the thing had been
given away cannot be described.
With one accord they all turned on
Mr.. Sully and denounced him in terms
that could not have been pleasant.
The history Of the Garrett-Sully ne
cotiations runs something like this :
Mr.. Garrett has got tired of running the
Baltimore and Ohio. He has not the
genius Of his father, who created that
great system, nor his capacity for or
love of business. He is rich. Why
burden himself with the affairs Of
q great property which requires
bis constant attention and the high
est order of administrative talent !?
MIR. Garrett has built himself a mag
nifcent mansion. He has a genius for
society if not for business. Why not
enjoy his wealth So Mr.. Garrett made
up his mind that if he could get a good
piice for his stock he would sell. To
do this he would have to sacrifice some
family pride, for the Garrett name has
always been identified with the
Baltimore and Ohio. But then
he remembered perhaps that w. II.
Vanderbilt disposed of the larger part
of his New York Central stock to a
great syndicate at a time when the road
was earning dividends, but seemed
likely to enter upon n less pros
porous career. Besides, Mr.. Gar
rett had infinite trouble of late
years in connection with the Baltimore
and Ohio. His fathers ambition was TO
extend the road into New York, and his
son has underworld to carry out his de
sign. The history of his fight with the
PENNSYLVANIA road, of the building of
The costly line to Philadelphia, of the
purchase of Erastus Winan's Terminal
facilities on Staten Island, and of his
negotiations with the Reading and Jer-
sey Central are well known. These
enterprises, together with the burden of
his Geographic competition with the
Western Union and the organization of
an express service, have all served to
increase his vexation of spirit. As one
of the Baltimore and Ohio directors
wrote in q letter quoted to-day, he
"got tired of wearing himself out for the
Baltimore and Ohio" Being anxious
to sell, the question arose, Who will be
the purchaser?
At this stage of the proceedings Mr..
Alfred Sully appeared on the scene.
Who made the final approaches Is not
definitely known bit Mr.. Suliy had
several conferences with Mr.. Garrett
in Baltimore and tasted of Mr.. CARROTS
fine Raltimorean hospitality at the
splendid dinner given at the Garrett
mansion ten days ago. Mr.. Sully
finally came to New York with paper
in his pocket to which Mr. CARROTS
name was attached. This paper
gave Mr.. Sully n short-time op-
ton to purchase a controlling in
terest in the Baltimore and Ohio
at about 200. Mr.. Sully was 10 deposit
with Mr.. Garrett 81, 100000 by Thurs
day of this week to bind the bargain,
or the option lapsed. Mr.. Sully came
back and opened up his scheme to his
associates in the Richmond Terminal
Board. He also opened his mouth.
The result has already been told.
The Richmand Terminal people did
not seem willing to act so quickly
on so important a proposition. Before
paying 81, 100000 they wished to know
what they were going to get. Then the
deal, it is said, had bad knock in the
head administered by Jay Gould. He
was expected to take the Baltimore and
Ohio telegraph system off the hands
of the syndicate. He was asked
to advance the million dollars
needed to bind the bargain. 1t Is
stated that he calmly told Mr.. Sully, or
whoever negotiated with him IN his
name, that he didn't want the Balti-
more and Ohio telegraph that it was